A business applies overhead costs on the basis of direct labour at the rate of 80% of direct labour. The following data is revealed: Direct labour $111 600 Direct material $ 84 200 Actual overhead $ 98 700 The amount of over or under applied overhead for the year is: a. Over absorb by $12 900 c. Over absorbed by $9,420 b. Under absorbed by $12 900 d. Under absorbed by $9,420 3. What is another term used to describe the type of costing often called 'full costing'? a. Standard costing c. Variable Costing b. Activity based costing d. Absorption costing